FedEx vs UPS - Competing with Contrasting Strategies in China
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Case Details:
Case Code : MKTG069
Case Length : 15 Pages
Period : 2002-2003
Pub Date : 2003
Teaching Note : Available
Organization : Federal Express Corporation, United Parcel Service
Industry : Logistics Solutions Company
Countries : China
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Please note:
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Excerpts
Establishing Presence in China
According to the Chinese legal regulations, foreign logistics management companies including FedEx and UPS could do business in China only through a partnership or joint venture with a local company (Refer Exhibit I)...
Fedex - Developing the Services Network
FedEx commenced its operations in April 1973 in
Memphis, US...
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UPS - Developing the Services Network
In 1907, Jim Casey (Jim), a 19-year-old messenger boy, started American Messenger Company (AMC) below a Seattle sidewalk in the US to offer bicycle messenger service with an initial investment of $100. His intention was to offer messenger service of the highest quality at the lowest price to the customers...
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The Contrasting Strategies
Analysts felt that FedEx and UPS established themselves in China till the late 1990s following different corporate styles. Both the companies followed a significantly different approach, providing different alternatives for companies that are planning to globalize...
Advertising and Promotion
Till the mid 1990s, the focus on advertising and promotion by both FedEx and UPS was relatively less... |
Excerpts Contd...>>
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